Loan against Property Advantages:
1. Loan processing is much faster than Home loan
2. No change of property title
3. No penalty for partial prepayment of loan amount or fore-closure
4. Long tenure up to 15 years- convenient repayment
5. Top up can be avail if property value has increased
Loan against Property Dis-advantages:
1. Processing charge is there
2. Loan only given to the 50%-60% of the property value
3. Valuation of property done by lender may be lower than market value
Documents Required for Loan against Property:
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Criteria
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Documents
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Applicant
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Salaried
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Self Employed/Professional
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Application Form
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Photograph
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Identity Proof
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PAN Card/
Passport/
Driving License/
Aadhaar Card/
Voter's ID Card
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Address Proof
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Passport/
Driving License/
Aadhaar Card/
Voter's ID Card
Business Address proof for Non-Salaried Applicant.
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Educational Proof
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Latest Degree
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Bank Statement
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Last 06(Six) Months
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Income Proof
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1.Latest 3 Salary Slips or Salary Certificate on Employer's Letterhead
2.Last 3 year's Form 16 from Employer or Last 2 Year's Income Tax Returns
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1.Last 3 Year's Income Tax Returns( Self & Business)
2.Last 3 Year's Profit & Loss Account Statement/Certified Financial Statements or Provisional Financial Statements Duly Certified by CA.
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Property Proof
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Photocopy of Title Documents of the Property, Approved Plan
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Eligibility Criteria for Loan against Property :
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Criteria
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Salaried
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Self Employed /Professional
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Age
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Min. 25 Years
Max. – 60 Years
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Min. - 25 Years
Max. – 65 Years
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Tenure
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1 Year to 30 Years
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1 Year to 30 Years
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Income
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Min. Rs.25,000.00 pm
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Min. Rs.40000.00 pm
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Experience
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Min. Two Years
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Min. Three Years
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Credit History
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Amount Offered
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40% - 60% value of the Property.
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40% - 60% value of the Property.
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| Interest Rates on Loan against Property |
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Bank
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Interest Rates
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Processing Fees |
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Allahabad Bank
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MCLR+5.50%
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Processing fees Min. 2670 Max.80,100 |
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Andhra Bank
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MCLR+2.05% - MCLR+2.55%
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Min. 300 Max. 25,000 |
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Axis Bank
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11.% - 12%
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Rs.5,000 |
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Bank of Baroda
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(MCLR+1.75% - MCLR+3.50%) + Strategic Premium
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0.20% of Loan Amount Max. 10,000 |
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Bank of India
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MCLR+2 %
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1% of sanctioned loan amount Min. Rs.5, 000/- and Max. Rs.50, 000/-.Plus S.T. |
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Bank of Maharashtra
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MCLR+1.25%
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0.50 % and Document charges @ 0.10% on the loan amount |
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Canara Bank
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MCLR+3.00%
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1% of sanctioned loan amount Min. Rs.5, 000/- and Max. Rs.50, 000/-.Plus S.T. |
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Catholic Syrian Bank
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11.99% - 13.49%
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0.50% of Loan Amouint |
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Central Bank of India
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MCLR+2.50%
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Min. 250 to Max.80,000 |
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Corporation Bank
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13.10%
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1% of sanctioned loan amount |
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Dena Bank
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9.95%
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1% of sanctioned loan amount |
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Federal Bank
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MCLR+2.70% - MCLR+5.95%
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1% of sanctioned loan amount , Min.3,000 |
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HDFC Bank
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MCLR+1.95% - MCLR+2.45%
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1% of sanctioned loan amount , Min.7,500 |
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IDBI Bank
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MCLR+1.25% - MCLR+1.75%
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Up to 1% of sanctioned loan amount. |
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Indian Bank
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12%
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1.178% on loan amount |
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Indian Overseas Bank
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10.75% - 11.25%
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0.60% - 0.75% |
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Indus Ind Bank
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9.75% - 14.00%
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Up to 2% of Loan Amount |
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Karnataka Bank
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11.95%
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0.50% of Loan Amount |
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KarurVysya Bank
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MCLR+2.40%
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0.50% of Loan Amount |
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Kotak Mahindra Bank
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MCLR+1.50%
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Up to 2% Loan Amount |
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OBC
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11.95%
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0.50% of Loan Amount |
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PNB
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MCLR+1.75%-MCLR+6.00%
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Rs.250/- |
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SBI
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MCLR+1.45% - MCLR+2.50%
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1.00% of Loan Amount, Maximum 50,000 |
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UCO Bank
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MCLR+2.15%-MCLR+3.15%
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1% of the loan amount sanctioned. |
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Union Bank of India
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MCLR+2.90%
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0.50% of Loan Amount |
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United Bank of India
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MCLR-Y+1.90%
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1.18% of Loan Amount |
| Yes Bank |
8.80% - 9.75% |
Up-to a maximum of 2% of the loan sanctioned (subject to a minimum of INR 10,000/-) |